Editing Veblen good (section)

== Ethical concerns ==
Being aware of the existence of Veblen goods, concerns were raised regarding their wastefulness<ref>{{Cite journal|last1=Hopkins|first1=Ed|last2=Kornienko|first2=Tatiana|date=2004|title=Running to Keep in the Same Place: Consumer Choice as a Game of Status|url=https://www.aeaweb.org/articles?id=10.1257/0002828042002705|journal=American Economic Review|language=en|volume=94|issue=4|pages=1085–1107|doi=10.1257/0002828042002705|issn=0002-8282|hdl=20.500.11820/6fdf6159-96b0-415b-a7b5-bb95caa924be|hdl-access=free}}</ref><ref>{{Cite journal|last=Frank|first=Robert H.|date=1985|title=The Demand for Unobservable and Other Nonpositional Goods|url=https://www.jstor.org/stable/1812706|journal=The American Economic Review|volume=75|issue=1|pages=101–116|jstor=1812706|issn=0002-8282}}</ref> as they are viewed as [[deadweight loss]].<ref>{{Cite journal|date=2013-07-01|title=Resource allocation, affluence and deadweight loss when relative consumption matters|url=https://www.sciencedirect.com/science/article/abs/pii/S0167268113001066|journal=Journal of Economic Behavior & Organization|language=en|volume=91|pages=159–178|doi=10.1016/j.jebo.2013.04.011|issn=0167-2681|last1=Eaton|first1=B. Curtis|last2=Matheson|first2=Jesse A.|url-access=subscription}}</ref> Consuming Veblen goods also results in other financial and social consequences such as conspicuous demonstration of unequal wealth distribution<ref name=":0" /> and possible changes to optimal tax formulas.<ref>{{Cite journal|date=2008-06-01|title=When the Joneses' consumption hurts: Optimal public good provision and nonlinear income taxation|url=https://www.sciencedirect.com/science/article/abs/pii/S0047272707002083|journal=Journal of Public Economics|language=en|volume=92|issue=5–6|pages=986–997|doi=10.1016/j.jpubeco.2007.12.007|issn=0047-2727|last1=Aronsson|first1=Thomas|last2=Johansson-Stenman|first2=Olof|url-access=subscription}}</ref><ref>{{Cite book|last1=Tanninen|first1=Hannu|url=https://trepo.tuni.fi/handle/10024/65717|title=Work Hours, Inequality and Redistribution: Veblen Effects Reconsidered|last2=Tuomala|first2=Matti|date=2008|publisher=Tampereen yliopisto|isbn=978-951-44-7584-9|language=en}}</ref> Another negative outcome is that this type of consumption can be a culprit of the future exacerbation of pollution.<ref>{{Cite journal|date=2017-04-01|title=Income Inequality and Carbon Emissions in the United States: A State-level Analysis, 1997–2012|url=https://www.sciencedirect.com/science/article/abs/pii/S0921800916308345|journal=Ecological Economics|language=en|volume=134|pages=40–48|doi=10.1016/j.ecolecon.2016.12.016|issn=0921-8009|last1=Jorgenson|first1=Andrew|last2=Schor|first2=Juliet|last3=Huang|first3=Xiaorui|bibcode=2017EcoEc.134...40J |url-access=subscription}}</ref>

Nonetheless, one exception is [[Ethical consumerism|ethical consumers]] interested in [[virtue signaling]] through their consumption of goods and services.<ref name=":4">{{Cite journal|last1=Stiefenhofer|first1=Pascal|last2=Zhang|first2=Wei|date=2020-11-30|title=Conspicuous ethics: a Veblen effect condition for ethical consumption goods|url=https://doi.org/10.1080/13504851.2020.1855306|journal=Applied Economics Letters|volume=29 |pages=72–74|doi=10.1080/13504851.2020.1855306|s2cid=229451267|issn=1350-4851|url-access=subscription}}</ref> Veblen goods targeting this market segment must also be ethically manufactured to increase in their quantity demanded.<ref name=":4" />